Northern Ireland: Paramilitary Activity

Baroness Amos: My right honourable friend the Secretary of State for Northern Ireland has made the following Written Ministerial Statement:
	On 3 February 2004 I received a report from the Independent Monitoring Commission (IMC), made under Articles 4 and 7 of the international agreement that established the commission.
	The report covers the robbery at the headquarters of the Northern Bank in Belfast on 20 December 2004 and puts it into the context of what the commission believes are related incidents. It was submitted to the British and Irish Governments under Article 4c of the agreement, which enables the commission to report on an ad hoc basis. Having considered the contents of the report, I am today putting it before Parliament and I have placed copies in the Libraries of both Houses.
	The IMC report concludes that the Northern Bank robbery was planned and undertaken by the Provisional IRA. The commission also concludes that PIRA was responsible for a number of other robberies which are listed in the report. The IMC concludes that Sinn Fein must bear its share of responsibility for the incidents mentioned in the report.
	The commission has said that if the Northern Ireland Assembly was now sitting, it would be recommending the implementation of the full range of measures referred to in the relevant legislation including the exclusion of members of Sinn Fein from holding political office. In the context of suspension it recommends that I should consider exercising the powers I have to apply financial penalties to Sinn Fein.
	I am grateful to the commission for its timely submission of this report and for its careful analysis. I shall now consider carefully the commission's recommendations. I plan to make a further Statement to the House in the week of 21 February.

Guyana Floods

Baroness Amos: My honourable friend the Parliamentary Under-Secretary of State for International Development (Mr Gareth Thomas) has made the following Written Ministerial Statement.
	Unprecedented rainfall in the last two months has caused serious flooding in large areas of Guyana's coastal regions. Rainfall for the first two weeks of January was five times the normal monthly average. Thirty nine per cent of the population of Guyana are estimated to have been affected. The worst affected area is along the East Coast from Mahaica to Georgetown, where 172,020 people have been severely affected. Reports indicate 27 deaths associated with the flooding to date, but there are no fully reliable figures at this time. It would be surprising if the figure remained this low—aside from the risk of more flooding we must be prepared for very serious health challenges as the waters recede.
	The Government's civil defence/emergency stocks have been exhausted through Guyana's assistance to Grenada (following Hurricane Ivan) and not replenished. Given the scale of the disaster, the Government have responded as well as could be expected in the circumstances. Systematic assessments of the population's needs are underway by the UN and civil society. These should establish prioritised needs and a division of responsibility around who can fund and deliver relief against these needs. This process should also improve quality of information on the extent and impact of the disaster.
	The Government have responded to the emergency by setting up temporary shelter in schools and other public buildings, as well as providing food and potable water. Currently, there are about 1,695 people living in 17 shelters. The World Food Programme (WFP) estimates that 3,200 families are in need of food. WFP's food supplies can provide food to 2,000 families for one month. The remaining 1,200 families are being covered from other sources, but supplies to these families are not as secure over the longer term. Evacuation points have been identified, and at least three, which are already established military camps, will not need much to get them operational. However, it is not clear how many people these camps could take.
	DfID's immediate bilateral support was to provide £20,000 directly to the Government's relief effort. We also provided £80,000 to the United Nations Children's Fund (UNICEF) for its delivery of emergency supplies, including water and environmental sanitation (WES) kits, and survival items such as blankets and treated mosquito nets.
	I spoke to President Jagdeo on the 27 January 2005, and expressed our support for the Government and people of Guyana at this trying time. On 31 January, I approved an increase of our bilateral contribution from this initial £100,000 by a further £180,000. This provided £120,000 for the deployment of the Royal National Lifeboat Institution's (RNLI) rapid response team of six boats and 20 crew and personnel. They arrived in Guyana on Wednesday 2 February and will help ease the problems in distribution highlighted in the available assessment reports. We will also supply £57,000 to support the Pan American Health Organisation's (PAHO) Water and Sanitation Action Plans, which will achieve security of water quality for up to 195,000 people (35,000 households). The Pan American Health Organisation will also be tackling the problem of the disposal of human waste. On 8 February 2005, the United Nations launched a Flash Appeal for Guyana of approximately £1.6 million. DfID will continue to assess whether there is a case for further support to the relief effort, specifically in the areas of water and sanitation, and public health. We have budgeted a small amount—£10,000—for strengthening relief co-ordination.
	The EU Delegation has announced the release of a total of €1.7 million to the relief effort. €700,000 from European Development Fund resources; €500,000 to Oxfam for water and sanitation work and €200,000 to the Pan American Health Organisation for medical supplies and emergency health assistance (the UK's share of EDF is calculated at 12.7 per cent giving a total here of £61,163). €l million has been provided from the General Budget. €650,000 for the International Federation of the Red Cross for food including the cost of transport; €350,000 yet to be allocated (the UK's share of the EU's budget funds is calculated at 18 per cent giving a total here of £123,839). In all, the UK has provided 185,002 to the emergency in Guyana through the EU.
	In addition to our humanitarian relief, the president asked for DfID's help in re-orienting the Government's programmes with the international financial institutions to deal with long-term needs for infrastructure rehabilitation and livelihood recovery schemes. Once the immediate emergency has passed, DfID will liaise with the Government of Guyana and its international partners on these matters. Flood impact on rice and sugar crops will have implications for growth, debt and poverty reduction in Guyana. A team from the World Bank has just completed its initial assessment and expects to circulate a report on 15 February 2005. The UN Economic Commission for Latin America and the Caribbean (ECLAC), will provide a more detailed assessment of the socio-economic impact of the floods by early March.

Gulf Veterans: War Pension Rejections

Lord Bach: My honourable friend the Parliamentary Under-Secretary of State for Defence (Mr Ivor Caplin) has made the following Written Ministerial Statement.
	At Defence Questions on 29 November 2004 (Official Report, col. 354), I announced that the Ministry of Defence would investigate the rejections of war pension cases referred to by Lord Lloyd of Berwick in his report into gulf veterans' illnesses which was published on 17 November 2004.
	One of the recommendations referred to, "272 claimants who have had their claims rejected (and) should have those claims reviewed in the light of this report". Of these cases, more than half related to diagnosed disorders such as traumatic physical injuries, low back pain, or coronary disease which we would expect to find in any group of service personnel and which certainly do not relate to anything that might be construed as a "Gulf War" illness. This investigation therefore concentrated on the remaining 100 or so cases that may or do relate to gulf veterans' illnesses.
	This work is now complete and revealed some form of irregularity in six of the 110 cases. Otherwise, procedures on claims, reviews and appeals have been properly followed, and the outcomes reflect the evidence and contemporary understanding, and would not have been affected by subsequent developments in the understanding, of symptoms and illnesses occurring among gulf veterans. In considering the rate of irregularities, account needs to be taken of the complexity of many claims from gulf veterans, often involving multiple conditions or symptoms and repeated requests for the addition of further conditions:
	One involved a procedural error, involving failure to implement a decision that the individual was suffering from an illness attributable to service in the gulf. Arrangements are being made to pay the arrears as soon as is practicable.
	One claim was wrongly rejected.
	In the other four cases the claim was only partly answered—the decisions made did not cover the full range of conditions and symptoms claimed, all of which related to service in the Gulf.
	In all these cases, the relevant decisions are being formally reviewed and will be notified to the claimant, with an appropriate notice of award or rejection. Any decision taken on review will carry a full right of appeal. I am today placing copies of this report in the Library of the House. It is also being placed on Ministry of Defence websites at www.veteransagency.mod.uk and www.gulfwar.mod.uk.

Planning and Compulsory Purchase Act 2004

Lord Rooker: My right honourable friend the Minister for Housing and Planning has made the following Written Ministerial Statement.
	I have made the 4th commencement order to commence powers in the Planning and Compulsory Purchase Act 2004 and today laid the Town and Country Planning (Timetable for Decisions) (England) Order 2005. Yesterday I laid amendments to the Town and Country Planning (Fees for Applications and Deemed Applications) Regulations 1989.
	The commencement order commences the timetabling provisions contained in Section 55 of the Act. Schedule 2 to the Act requires the Secretary of State to make timetables for called-in planning applications and planning appeals recovered for his decision, and enables him to specify decisions, or descriptions of decisions, to which a timetable is not to apply.
	The order clarifies the range of cases which will require the Secretary of State to set a timetable for issuing a decision. This will provide a greater degree of certainty for developers, local authorities and all those involved in planning decisions, as to when the Secretary of State will make a decision. The order will come into force on 1 April 2005, and will apply to cases where an inquiry or hearing closed on or after that date, or where a site visit was held after that date.
	I am also introducing a draft instrument to implement increases to planning fees. This instrument makes amendments to the Town and Country Planning (Fees for Applications and Deemed Applications) Regulations 1989, which are themselves made under Section 303 of the Town and Country Planning Act 1990. The instrument has been laid under the affirmative resolution and will be debated in both Houses, subject to approval the changes will take effect from 1 April 2005.
	The Government's purpose in bringing forward this instrument is that fees should rise to provide sufficient financial resources for the planning service and to meet more fully the costs of handling planning applications. The increases will be across the board, but will be higher for the largest applications. A fee for a householder extension will rise from £110 to £135, while the maximum fee for a major development of houses will increase from £11,000 to £50,000. These increases are based on independent research carried out by the Office of the Deputy Prime Minister, which established that the costs of determining planning applications were considerably higher than existing fees.

Lord Rooker: My honourable friend the Parliamentary Under-Secretary of State has made the following Written Ministerial Statement.
	My right honourable friend, the Minister for Housing and Planning has made the 4th commencement order to bring into force provisions in the Planning and Compulsory Purchase Act 2004, and the Town and Country Planning (Temporary Stop Notice) (England) Regulations 2005 which have been laid before Parliament today.
	The commencement order includes the temporary stop notice (TSN) provisions contained in Section 52 of the Act. The TSN regulations have been subject to consultation.
	The Act gives local planning authorities a new power to issue a TSN when unauthorised development commences to require the immediate cessation of a breach of planning control for a limited period of 28 days. TSNs can be used to impose a freeze on further unauthorised development. This will help to speed up the process of enforcement. TSNs provide local planning authorities with an additional enforcement tool to deal with a range of planning breaches.
	The effect of the TSN regulations is to provide that those in caravans should be treated in the same way as those in buildings under normal circumstances. They can also be used exceptionally, where the risk of harm is so great as to require the immediate removal of caravans from the land.
	The TSN regulations will come into force on 7 March the same day as Section 52 of the Planning and Compulsory Purchase Act 2004. We shall also publish a circular setting out more detailed guidance on the use of the temporary stop notice provisions, and the circumstances in which they can be used.

Representation of the People (Variation of Limits Candidates' Election Expenses) Order 2005

Baroness Ashton of Upholland: My honourable friend the Parliamentary Under-Secretary of State has made the following Written Ministerial Statement.
	The Government have laid before Parliament the following instrument: the Representation of the People (Variation of Limits of Candidates' Elections Expenses) Order 2005. This order reflects the Electoral Commission's recommendations of 12 January 2005 on the maximum amounts of candidates' election expenses at a parliamentary general election in the United Kingdom and at local government elections in England and Wales, as detailed in its report: Variation of Election Expenses Limits for Candidates at UK Parliamentary and Local Government Elections.
	The recommendations have been agreed by both the Secretary of State for Constitutional Affairs and the First Secretary of State in respect of their separate and distinct responsibilities for electoral matters. The Department for Constitutional Affairs broadly takes responsibility for national issues, in particular parliamentary and European parliamentary elections. The Office of the Deputy Prime Minister broadly takes responsibility for local election matters.

Tax Avoidance

Lord McIntosh of Haringey: My right honourable friend the Paymaster General has made the following Written Ministerial Statement.
	The Government are taking action which will be effective from today to prevent tax avoidance by companies in three areas: claims to excessive double taxation relief; use by companies of capital redemption bonds to generate artificial losses; and exploitation of the loss buying rules.
	Double Taxation Relief
	A recent decision by the Special Commissioners on the detailed application of the double taxation rules has the effect of putting a significant amount of tax at risk. The Government are taking action from today to ensure that tax is not lost through avoidance schemes that would seek to exploit the decision. Today's announcement will only apply to those who take part in deliberate tax avoidance. This action will not affect those who conduct their affairs on normal commercial principles.
	From today, tax avoidance schemes that are put in place deliberately to create foreign tax credits to reduce total tax liabilities will be blocked. The amount of credit for any foreign tax paid on or after today's date will be limited to the amount of UK tax on the profits (if any) arising from the transactions making up the avoidance scheme.
	Corporate Capital Redemption Bonds
	A number of avoidance schemes have been disclosed to the Inland Revenue which aim to generate capital losses using corporate capital redemption bonds. From today, where one of these bonds is disposed of by a company, no capital loss can arise.
	Loss Buying
	Further disclosures under the new disclosure rules introduced in Finance Act 2004 mean that the Government will close a loophole which allows certain losses to be carried forward despite the obvious intention of Parliament that they should not be. From today, where there is a change in ownership of a company that would otherwise cause the loss buying rules to operate, any non-trading loss on debt allocated to the period ending before the change will not be carried forward to a post-change period.
	Legislation will be included in the Finance Bill to stop these avoidance schemes. Further details about each of the proposals and draft clauses which cover corporate capital redemption bonds and the loss buying changes are available on the Inland Revenue website.

Railways: Funding

Lord Davies of Oldham: My right honourable friend the Secretary of State for Transport (Alistair Darling) has made the following Written Ministerial Statement.
	In the Future of Transport White Paper published in July, (Cm 6233, available from the House of Commons Library), we set out how the Government will respond to the factors that shape travel over the long term, and the resources being made available to support its strategy. The 2004 spending review settlement has provided the department with almost £l5 billion to spend on the railways over its three year period. This is an increase of £1.9 billion over previously published plans, averaging at 15 per cent per year.
	This Statement sets out how the Department for Transport intends to allocate this money on the railways until April 2009, which is the end of the current control period for rail.
	
		
			 Department for Transport (all figures £ million at cash prices) 2005–06 2006–07 2007–08 2008–09 
			 Government supportto franchises 1,066 1,501 1,353 1,417 
			 Network Grant 1,843 2,883 2,832 2,651 
			 Enhancements1 33 18 27 34 
			 Freight 22 26 21 20 
			 Other2 206 201 175 177 
			 Total Governmentcommitments tofranchise support,Network Rail andother 3,170 4,629 4,408 4,299 
			 CTRL 1,387 1,181 180 93 
			 Total Rail 4,557 5,810 4,588 4,392 
		
	
	1 This reflects the enhancements that are directly funded on a "pay-as-you-go" basis by DfT/SRA, as opposed to those enhancements that are funded through Network Rail.
	2 Expenditure on "Other" includes, inter alia, support for Merseyrail, rail pensions, the British Transport Police, research and project development, as well as running costs currently incurred by the SRA.
	3 The above figures include funds which will be transferred to the Scottish Executive for rail spending in Scotland, details of which were provided by the Minister for Transport in his Written Ministerial Statement to the House on 27 January 2005.
	4 The balance between network grant and government support to franchises is not precisely fixed and will be subject to ORR approval. The result of any ORR approval to any increased enhancement expenditure by Network Rail will be to increase its level of borrowing.
	As can be seen, government commitments to the passenger railway are significantly higher after 2005–06, owing to increases in the network grant and support to franchises. This largely reflects trends in Network Rail income and the increased investment now going into the railway coupled with the significant decreases in the amount of new borrowing by Network Rail.
	Funding for CTRL reflects the profile of our payments under the contracts with the CTRL promoter.
	Our spending will enable the Government to deliver their commitments to complete a broad range of plans. These include the completion of the Channel Tunnel Rail Link, and through Network Rail, the modernisation of the West Coast Main Line. We will also complete the Mark I rolling stock replacement programme which is bringing some 2,000 new vehicles on to the network.
	The spending review outcome allows the department to support the regulator's interim review funding for Network Rail, (published in December 2003 and March 2004, available from the House of Commons Library), as shown in the following table:
	
		
			 Network Rail (all figures £ million at cash prices)2 2005–06 2006–07 2007–08 2008–09 
			 Source of funds 
			 Network Grant 1,843 2,883 2,832 2,651 
			 Access Charges 1,553 2,584 2,687 2,927 
			 Other income 401 372 400 420 
			 Total 3,797 5,839 5,919 5,998 
			 Additional borrowing(repayment) 3,108 446 333 (13) 
			 Total source of funds 6,905 6,285 6,252 5,985 
			 Application of funds 
			 Operations andMaintenance 1 2,505 2,396 2,317 2,243 
			 Interest on borrowing 1,075 1,179 1,201 1,211 
			 Renewals 2,897 2,389 2,465 2,287 
			 Enhancements 428 321 269 244 
			 Total application offunds 6,905 6,285 6,252 5,985 
		
	
	1 Includes performance payments.
	2 DfT analysis based on ORR Interim Review.
	3 The balance between network grant and access charges is not precisely fixed and will be subject to ORR approval. The result of any ORR approval to any increased enhancement expenditure by Network Rail will be to increase its level of borrowing.
	These figures show Network Rail progressing towards much greater financial stability. In particular, its need for additional borrowing will decline dramatically in 2006–2007 and continue to reduce until the end of the current control period. Network Rail is funded through the network grant, paid direct by government; access charges paid for use of the network by private train and freight operating companies; and other income from activities such as property and retail. In the current year it is forecast that 47 per cent of Network Rail funding will be from the public sector, and 53 per cent from the private sector (44 per cent from train operating companies and 9 per cent other income, including freight access charges).
	Network Rail also has the capacity to borrow. As at September 2004 Network Rail reported a net debt of £14.3 billion. The interim review by the Rail Regulator, and supported by the Government's spending plans, ties Network Rail into achieving efficiency savings of some 30 per cent by 2009. Nevertheless, its plans for the four-year period in the above table include the replacement of 3,360 kilometres of rail, the renewal of 2,900 kilometres of sleepers and the reduction of train delay minutes by 26 per cent.
	The Government's plans provide the best opportunity in a generation to achieve a stable and sustainable funding position for the national railway. In particular, they see rapid investment by Network Rail on infrastructure renewal and investment, delivering on a range of planned projects, improving reliability, and putting right decades of neglect on the basis of properly funded proposals.
	Realising this stability in the medium-term will require careful control of costs, particularly over the coming spending review period. In addition to the 30 per cent efficiency savings, Network Rail will need to retain a focus first and foremost on the renewal and modernisation of the existing network and demonstrate its improved efficiency before looking at any wide-ranging enhancement programmes. Efficiencies will be required as much on the franchising side as from Network Rail—and the costs of rolling stock remain an important part of the equation.
	But, the provisions of the Railways Bill currently passing through Parliament will enable the Government to fulfil their White Paper commitments, delivering better cost control and greater efficiency. The spending review settlement will enable the Government to tackle the decades of underinvestment and put the railways on a secure footing for the future.

Public Bodies Database

Lord Bassam of Brighton: I am pleased to announce that today the Cabinet Office is launching its new "Public Bodies" database, to replace the previous annual publication. It can be found on the Civil Service website at http://www.knowledgenetwork.gov.uk/ndpb/ndpb.nsf
	The database lists the public bodies sponsored by central government, with contact details, information about their remit and about the membership of their boards. The figures are broken down between male and female members for individual bodies, and summaries are provided at departmental level for the proportions of board members who have declared they have a disability or come from a minority ethnic background.
	The database also includes information about the Government's task forces, ad hoc advisory groups and reviews, giving a more complete picture of the bodies and groups working to deliver the Government's objectives.
	Initially it contains data as at 31 March 2004, consistent with previous years' publications. A selection of statistical reports is available now, and enhanced reports will become available in due course. Users who wish to print out an individual record will be able to do so using standard Internet print facilities. We will place a complete printout of the database contents in the parliamentary Libraries as soon as the full range of data is available and validated; and make a portable document format (.pdf) file of that available for public download from the website.